AGC and Tostem to Develop Energy-Saving "Window"

Asahi Glass Co., Ltd. (AGC) and Tostem Corp. of JS Group have reached a basic agreement to start talks on a business alliance for the development, manufacture and sales of a new high-performance, high-quality “window” that integrates glass and sash. In recent years, in response to increasing concerns about the rapid pace of climate change, efforts to reduce CO2 emissions have been moving into high gear in various countries. As CO2 emissions from households have been increasing every year in Japan, reducing those CO2 emissions has become a pressing issue.

The two companies believe that enhancing the thermal insulation and solar control of houses is an effective way of reducing CO2 emissions, because air-conditioning accounts for 30% of household energy consumption. In addition, because a large proportion of heat enters and leaves a house through openings such as windows, improved thermal insulation and solar control of windows are needed.

AGC and Tostem are committed to providing products and carrying out business activities in ways that consider the environment and help to achieve a sustainable society. The companies have separately focused on developing and improving the performance of their products. However, they have come to believe that they will be able to contribute further to solving global warming issues if they work together in developing new high-performance, high-quality “windows.” In addition, AGC and Tostem also believe that they will be able to provide customers with reassurance on the performance and quality assurance of products that have been provided separately for glass and sash by establishing a comprehensive performance assurance system.

As part of the basic agreement, AGC would manufacture and sell processed glass for the “windows” while Tostem would establish a performance assurance system, assemble and sell the “windows,” and streamline all operations (including delivery). Aiming to start the joint businesses early, AGC and Tostem will hold talks to determine the details of the business alliance based on the agreement. The joint businesses are expected to start within 2010.